Funding, Government announcements, News

Victorian Budget brings in mixed mining reviews

Victoria’s 2024–25 Budget was released yesterday, with industry players reacting with mixed reviews.

The Minerals Council of Australia (MCA) said the Budget provides some positive developments for Victoria’s mining industry, but warned a lack of funding for smaller projects could prove costly.

In particular, the MCA highlighted the absence of funding for the critical minerals grants program announced in the 2022 Budget.

“Modest grants for exploration, research, and innovative technologies are essential to ensure Victoria capitalises on opportunities to integrate into renewable energy and high-tech supply chains,” the MCA said.

However, the Budget has allocated $44 million in base funding to help grow the Victorian critical minerals industry, which the MCA said is a step in the right direction.

“MCA Victoria acknowledges the $44 million in base funding provided in the Budget for Resources Victoria to help grow the Victorian critical minerals industry and fund an efficient regulator, for which the MCA has long advocated,” the MCA said.

The Association of Mining and Exploration Companies (AMEC) has welcomed the Victorian Government’s decision to make no changes to the existing royalties scheme.

“The2024-25 Victorian Budget makes no changes to the existing royalties scheme, and no increases in fees and charges for miners and explorers, but there remains a lack of clarity around the state’s critical minerals ambitions and objectives,” AMEC chief executive officer Warren Pearce said.

“With $44.7 million in new sector funding, this budget builds on last years $23.3 million for the Victorian resources industry to continue building regulator capability and approvals capacity and efficiency, along with ensuring delivery of its regulatory reform amendments.”

Like the MCA, AMEC highlighted the need for more critical minerals funding.

“While this should help Government be more efficient, we would like to see more real support for critical minerals,” Pearce said.

“Unlike most other jurisdictions in Australia, Victoria has yet to outline a prescriptive critical minerals strategy, despite having a considerable mineral endowment including antimony, lithium, copper, tungsten, tin and mineral sands (including rare earth elements).”

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